Audits of Local Governments

The Office of the New York State Comptroller’s Division of Local Government and School Accountability conducts performance audits of local governments and school districts. Performance audits provide findings or conclusions based on an evaluation of evidence against criteria. Local officials use audit findings to improve program performance and operations, reduce costs and contribute to public accountability.

For audits older than 2013, contact us at [email protected].

For audits of State and NYC agencies and public authorities, see Audits.

Topics
School District | Information Technology

January 19, 2024 –

District officials did not adequately secure the District's network user accounts, establish physical controls, maintain complete and accurate inventory records for IT equipment or develop an IT contingency plan.

School District | Financial Condition

January 12, 2024 –

The Board and District officials were not transparent with taxpayers and did not effectively manage fund balance and reserves.

School District | Purchasing

January 5, 2024 –

The Board of Education (Board) and District officials did not always procure goods and services in a competitive manner. Officials did not update the procurement policy or ensure that employees followed New York State General Municipal Law (GML) when procuring goods and services. As a result, goods and services were purchased without the benefit of competition, resulting in the increased risk that taxpayer dollars were not expended in the most prudent and economical manner.

School District | Inventories

January 5, 2024 –

District officials did not adequately manage and monitor fuel access and usage or account for fuel inventory. As a result, seven enabled fuel user accounts were not needed and authorized transportation department employees completed 117 usage transactions during our test period by sharing Personal Identification Numbers (PINs) and/or vehicle fobs to fuel buses. This reduces accountability and increases the risk that fuel could be stolen or misused without detection.

Fire District | Revenues

December 29, 2023 –

District officials developed a comprehensive investment program but did not effectively manage the program. During the 17-month audit period, the District earned $539 from money on deposit in the District's checking and money market accounts, which had average available funds for investing of $845,365. Had officials considered other legally permissible investment options, the District may have earned an additional $38,700 more than earned.

Fire District | Financial Condition

December 29, 2023 –

The Board did not ensure that financial reports it received were timely, accurate, and contained the necessary information it needed to properly monitor the District's financial condition and fund balance. If the Board does not adequately control expenditures and monitor and rebuild the District's fund balance, there is a risk that the District may not have sufficient financial resources available to address unexpected occurrences or meet its cash flow needs.

Fire District | Claims Auditing, General Oversight, Records and Reports

December 29, 2023 –

The Board did not provide adequate oversight of the District's financial operations. As a result, the Board hindered their ability to make informed financial decisions and levied taxes that were more than necessary to fund operations.

Court and Trust | Other

December 29, 2023 –

Pursuant to a court order, certain assets may be provided to the court and then delivered to the County Commissioner of Finance (Commissioner) for safekeeping. Payments made pursuant to court orders commonly involve surplus money from foreclosures and contract disputes resulting in a mechanic's lien. These actions are recorded in the County Clerk's office when payments are deposited as required by court order. Additionally, in certain circumstances, funds from estates are entrusted to the Commissioner for safekeeping by order of the Surrogate's Court. Together, the Commissioner, County Clerk and Surrogate's Court must develop sound procedures and processes which, when implemented properly and consistently, provide a system of internal controls to account for and safeguard these funds.

BOCES | Revenues

December 22, 2023 –

BOCES officials did not develop and manage a comprehensive investment program. During the 12-month audit period, BOCES held $7.4 million in money market accounts and earned interest totaling $105,000, and held $4.6 million in non-interest bearing accounts. Had officials considered other available investment options, BOCES may have earned $448,000 in investment income, or $343,000 more than the $105,000 earned during our audit period.

School District | Cash Receipts, Revenues

December 22, 2023 –

District officials did not properly claim State aid for special education students who received services in 10-month public and summer placements. As a result, as of April 30, 2023, the District will not benefit from $28,832 in State aid that was not claimed and had not claimed an additional $224,976 in aid, of which $195,844 would have already been received if claimed in a timely manner. Officials also claimed and received $57,650 in aid to which the District was not entitled.

County | Financial Condition

December 22, 2023 –

The North Chautauqua County Water District's (District's) Board (Board), County Legislature (Legislature) and other County officials did not adopt realistic budgets, routinely monitor the District's financial operations or take appropriate actions to maintain the District's fiscal stability. As such, all County taxpayers have been funding District operations instead of just the real property owners who benefited from the District's services.

Town | Revenues

December 22, 2023 –

The Town was not reimbursed equitably for shared service costs related to the intermunicipal agreement (IMA) and the operating group Chadwick Bay Intermunicipal Water Works (CBI). In addition, the Board did not convey land to Chautauqua County (County) in a transparent and equitable manner.

School District | Revenues

December 22, 2023 –

District officials did not develop and manage a comprehensive investment program. During the 22-month audit period, the District had an average of $12.4 million in operating and debt service funds available for investing, and earned $154,099 in investment earnings. Had officials utilized their investment accounts more effectively, the District may have earned $356,452, or $202,353 more than the $154,099 of investment earnings during our audit period.

Town | Cash Disbursements

December 22, 2023 –

Claims and payroll-related disbursements were not always adequately supported, properly approved or for Town purposes.

School District | Revenues

December 22, 2023 –

District officials did not properly bill and collect tuition for nonresident foster care students enrolled at the District. As of March 27, 2023, the District had not collected $59,336 of tuition billed and did not bill $4,345 for tuition due. As a result, the District had not been paid $63,681 of the $107,167 (59 percent) in tuition owed to the District during the 2019-20 through 2021-22 school years.

Village | Records and Reports

December 22, 2023 –

The Board did not provide adequate oversight over financial operations and capital projects. As a result, the Board did not have sufficient information to oversee financial operations and capital projects. The Board was unaware of the Village's financial position and that financial records were disorderly and incomplete.

BOCES | Inventories

December 15, 2023 –

BOCES' capital asset records were not complete or accurate to ensure that assets were accounted for and protected from loss, theft, misuse and obsolescence. We selected 94 capital assets purchased for $247,918 and identified one or more exceptions for 49 capital assets purchased for $115,351 (two capital assets, with a purchase price of $4,437, had more than one exception).

Town | Financial Condition, Information Technology

December 15, 2023 –

Officials did not provide adequate oversight of water fund operations.

School District | Employee Benefits

December 15, 2023 –

District officials generally paid the 33 employees we tested accurately and properly calculated their leave accruals.

County | Other

December 15, 2023 –

Pursuant to a court order, certain assets may be provided to the court and then delivered to the County Treasurer (Treasurer) for safekeeping. Payments made pursuant to court orders commonly involve surplus money from foreclosures and contract disputes resulting in a mechanic's lien. These actions are recorded in the County Clerk's office when payments are deposited as required by court order. Additionally, in certain circumstances, funds from estates are entrusted to the Treasurer for safekeeping by order of the Surrogate's Court. Together, the Treasurer, County Clerk and Surrogate's Court must develop sound procedures and processes which, when implemented properly and consistently, provide a system of internal controls to account for and safeguard these funds.